Schlagwort: crypto market news

• Circle is reportedly in talks to sell to Coinbase or Ripple despite IPO plans.
• Coinbase holds strong control and financial leverage over Circle.
• Ripple’s $5B bid was rejected amid higher IPO valuation targets.

Despite having filed for an initial public offering (IPO) last month, Circle Internet Financial, the company behind the USDC stablecoin, is reportedly engaged in discussions of a possible sale to either Coinbase Global or Ripple, as per a Fortune report, citing sources familiar with the matter.

The future of Circle’s IPO

While Circle remains committed to its IPO, it has not yet scheduled a roadshow or disclosed specific terms.

The company is believed to be targeting a valuation of at least $5 billion, whether through public markets or via a strategic buyout.

Behind the scenes, conversations with both Coinbase and Ripple about potential sales have reportedly gained momentum, pointing to the dual-track approach Circle appears to be pursuing.

Coinbase emerges as the most likely Circle buyer

Coinbase has emerged as the more likely acquirer, largely due to its close commercial ties with Circle and its influence over the governance of USDC.

The two companies co-founded the Centre Consortium in 2018 to launch the dollar-backed stablecoin, and although Centre was dissolved in 2023, the partnership’s legacy endures.

Following the consortium’s conclusion, Coinbase acquired an equity stake in Circle and retained significant operational leverage over the stablecoin issuer.

According to insiders, Coinbase’s influence over Circle includes rights related to insolvency scenarios and approval authority over any major distribution or partnership deals involving USDC revenue.

These terms, embedded in the existing agreement, suggest that Coinbase holds considerable sway over Circle’s strategic direction.

As a result, many in the industry believe Coinbase is the most logical buyer, especially considering its strong balance sheet and deep integration with Circle’s operations.

Financially, Coinbase is well-positioned to pursue such an acquisition.

With approximately $8 billion in cash reserves and the capacity to raise additional capital through public markets, the exchange has the firepower to make a competitive offer.

Additionally, Coinbase currently benefits from receiving 100% of the revenue generated by USDC held on its platform, making a full acquisition a potentially lucrative long-term move.

Ripple made a $4-5 billion offer

Ripple, on the other hand, is not out of the picture. Backed by a vast reserve of XRP tokens, valued at over $100 billion when including assets held in escrow, Ripple reportedly made an acquisition offer in the range of $4 billion to $5 billion.

However, that bid was ultimately turned down by Circle, which is aiming for a higher valuation.

Despite the rejection, Ripple’s strong capital reserves mean it could remain a contender should the terms become more favourable.

As Circle weighs its options, the decision will likely hinge on market conditions, investor appetite, and the comparative benefits of a public offering versus a private sale.

While the recent success of eToro’s public debut may offer encouragement for a Circle IPO, the strategic synergies of a sale, particularly to Coinbase, could prove too compelling to ignore.

The post Circle reportedly weighing sale to Coinbase or Ripple despite IPO plans appeared first on CoinJournal.

• The regulator said it was “instituting proceedings” to consider the 21Shares Core Solana ETF and the Bitwise Solana ETF, according to filings released Monday.
• The SEC is currently reviewing more than 70 cryptocurrency ETF applications.
• Crypto investment products attracted $785 million in net inflows last week, according to CoinShares.

The US Securities and Exchange Commission has postponed its decision on two proposed exchange-traded funds tied to Solana, while inviting public comment as part of its review process.

The regulator said it was “instituting proceedings” to consider the 21Shares Core Solana ETF and the Bitwise Solana ETF, according to filings released Monday.

“Institution of proceedings does not indicate that the Commission has reached any conclusions,” the SEC said.

“Rather, the Commission seeks and encourages interested persons to provide comments on the proposed rule change.”

The agency is currently evaluating a growing number of crypto ETF proposals beyond Bitcoin and Ethereum, with filings covering a range of assets including Solana, XRP, Dogecoin, Cardano, and Litecoin.

The current round of reviews comes amid a shift in regulatory tone under the Trump administration.

The crypto ETF waitlist

The SEC is currently reviewing more than 70 cryptocurrency ETF applications, ranging from products tied to major altcoins like XRP, Solana, and Litecoin to more speculative meme-themed and leveraged offerings.

Bloomberg ETF analyst Eric Balchunas described the current queue as “wild,” highlighting the breadth of filings, which include references to “Penguins, Doge, and 2x Melania.”

This wave of applications follows two landmark approvals by the agency: spot Bitcoin ETFs in January 2024 and spot Ethereum ETFs in July. Both were viewed as significant milestones for mainstream adoption of crypto investment vehicles.

According to Bloomberg estimates from February, Litecoin ETFs have the highest likelihood of approval at 90%, with Dogecoin ETFs following at 75%.

Crypto ETPs inflows continue

Amid the regulatory developments, crypto investment products attracted $785 million in net inflows last week, according to CoinShares.

This marked the fifth straight week of gains, bringing total 2025 inflows to $7.5 billion and fully offsetting the $7 billion withdrawn earlier this year during a market correction.

Assets under management in crypto ETPs reached $172.9 billion globally, nearing all-time highs.

US-based products led with $681 million in inflows, followed by Germany at $86.3 million and Hong Kong at $24.2 million — its largest since November 2024. Sweden, Canada, and Brazil recorded modest outflows.

Solana-based products, despite the ETF headlines, saw net outflows of $0.9 million last week.

XRP and Sui drew $5 million and $9.3 million in inflows, respectively, while Cardano and Chainlink also saw minor gains.

21Shares, already active in the US through its spot Bitcoin and Ethereum ETFs with Ark Invest, has recently expanded its filings to include Solana, Dogecoin, XRP, and Polkadot.

The post US SEC delays decision on 21Shares and Bitwise Solana ETFs appeared first on CoinJournal.

• Contracts settled in cash, benchmarked to XRP-Dollar Reference Rate.
• Standard futures size is 50,000 XRP; micro contracts are at 2,500 XRP.
• XRP joins CME’s existing suite, including Bitcoin, Ethereum, and Solana.

The Chicago Mercantile Exchange (CME) Group has officially launched XRP futures and Micro XRP futures, marking a significant expansion of its regulated cryptocurrency derivatives offerings.

With this addition, XRP—currently the fourth-largest digital asset by market capitalisation—joins Bitcoin, Ethereum, and Solana as part of CME’s crypto product suite.

The new contracts, which became tradable on Sunday evening, 18 May, aim to cater specifically to institutional investors seeking regulated exposure to XRP.

The move also reflects broader demand for diversified crypto assets within traditional financial infrastructure.

CME launches XRP contracts

CME introduced two XRP-based derivatives products—standard XRP futures and Micro XRP futures—on its CME Globex and CME ClearPort platforms.

The standard contract size is 50,000 XRP, while the Micro futures represent 2,500 XRP per contract.

Both instruments are cash-settled and benchmarked against the CME CF XRP-Dollar Reference Rate, a mechanism designed to offer a stable and transparent valuation of the underlying asset.

Fee structures vary depending on the type of participant and the trading venue, with separate classifications for institutional investors, market-makers, and proprietary trading firms.

These products were first reported in January through unofficial documentation and formally confirmed in April pending regulatory clearance.

Institutional interest rising

CME’s decision to launch XRP derivatives reflects rising institutional interest in diversified crypto investment vehicles.

XRP’s inclusion comes at a time when CME’s own crypto derivatives segment is experiencing rapid growth.

During the first quarter of 2025, CME reported a 141 percent year-on-year surge in average daily crypto derivatives volume, reaching 198,000 contracts and $11.3 billion in notional value.

Open interest also climbed 83 percent, totalling $21.8 billion.

The availability of XRP futures is expected to enhance market liquidity, provide new avenues for hedging strategies, and support price discovery.

These elements are particularly relevant for institutional asset managers, hedge funds, and trading desks evaluating exposure to digital assets within a compliant and risk-managed framework.

Ripple case still unresolved

The launch, however, coincides with Ripple’s ongoing legal challenges in the United States.

The Securities and Exchange Commission continues to pursue penalties against the company, despite a previous partial legal victory for Ripple regarding XRP’s status in secondary markets.

Most recently, a US federal judge declined Ripple’s request to reduce a proposed financial penalty, citing limitations on modifying final judgments.

This ongoing regulatory uncertainty in the US could potentially influence the market’s reception of the new futures products.

Nevertheless, the introduction of XRP contracts through a regulated exchange like CME may help mitigate some concerns by offering institutional-grade tools that adhere to compliance standards.

The post CME launches XRP futures as institutional demand drives crypto derivatives growth appeared first on CoinJournal.